Wei Mi Changes Brand Strategy Underwear Series This Time To "Take The Lead"

The trend towards further focusing on core products for streamlining operations has gradually emerged from quarterly earnings reports of many world famous brands, such as Gap, Ralph Lauren, and Burberry.

This month, we welcome the secret of Vitoria.

According to the latest information, the first quarter revenue report of the Victoria underwear series is expected to be high, and the swimwear business will be terminated.

You're right,

The parent company L Brands Inc. will terminate all online and offline business related to swimsuits, accessories and shoes.

From the quarterly income report of the brand, the overall situation is not outstanding.

L Brands Inc. has a 3% growth in the same store sales, which is also 2% of the total expected, but far less than 7% of the same period last year.

It can be seen that the performance of Pink girls' underwear as one of the main businesses is outstanding, but the cosmetic performance is at the bottom of sales.

It is too early to draw a conclusion. Let's look forward to this business.

Whether or not to send the secrets of Vitoria to the fast growing fast lane?

At the same time, the company also reorganized its business into three major business units: Victoria 's Secret Lingerie (Wei underwear), PINK (girls' underwear) and Victoria' s Secret Beauty (virgin beauty). Each unit leader will report directly to the parent company L Brands Brands.

The digital mode will be integrated into every major business unit, and the direct business (direct selling business), which is made up of directory business, will be pformed and merged.

Vitoria's secret and PINK's digital channels reflect the change in the buying patterns of young consumers nowadays.

When the last sale of swimsuits, videos and shoes is cleared, online stores and offline stores will sell the same products uniformly.

The decision will result in the dismissal of 290 employees.

Perhaps in the long run, this is a more sustainable decision, but in the short term, it will inevitably hurt the bottom line of the company's operation.

After all, those businesses that will be terminated will also contribute 525 million dollars in sales to the brand last year. This year, because of cleaning up inventory, profits will be more or less affected, but it may be good news for you to buy sexy swimsuits.

In order to maintain profits as far as possible, the company is planning to use the price reduction method to clean up the remaining commodities that are being cut down, and to minimize the spread of the terminated catalogue products that attracted you to enter the brand store in its golden age.

Obviously, the company has tried to eliminate the list of products that will be terminated in several pilot cities, and the result is unaffected sales.